Chainlink Unveils Enhanced Cross-Chain Interoperability Protocol

Chainlink has released an updated version of its Cross-Chain Interoperability Protocol (CCIP), aimed at enhancing financial institutions' and digital asset issuers' use of blockchain technology. The new protocol, CCIP 2.0, includes features such as enhanced transaction verification, built-in compliance tools, and transfer settings.

The release of CCIP 2.0 comes in response to the April hack of Kelp, which involved $292 million being withdrawn from a bridge on LayerZero infrastructure by deceiving a single verifier. This led to several companies, including Kelp itself, Kraken, and Aave, migrating their assets to Chainlink's infrastructure.

The updated protocol has been integrated with the Automated Compliance Engine (ACE), which enables the addition of KYC/AML and sanctions checks, transfer limits, and sender and receiver admission rules. Additionally, CCIP 2.0 features customizable finalization parameters and accelerated transfer scenarios.